By Paul Rohan, Financial Services, Payments Technology, Payments Regulation

There have been some enduring characteristics about lending to small and young businesses.   Lending to small businesses has been more complex than lending to consumers.  It has been riskier than lending to large businesses. The activities of a consumer are less complex than a business.  The potential for a loan to a consumer is often signalled by a single and recurring wage payment. Business payments move in many directions. Unlike consumers, businesses can make sales by giving credit to customers. They can make purchases using credit from suppliers. This data is recorded outside the payment account. This is unlikely to change.